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The resignations came after a recent investigation by The Mail on Sunday which revealed that Jeff Fairburn, chief executive of the housebuilding firm, is in line for an astonishing £50million share award in the New Year.

Persimmon’s incentive scheme is one of the most lavish in corporate history. The company is likely to pay out shares worth more than £800million to senior managers.

The ten big names under the spotlight

Ten of Britain’s 100 largest listed firms face humiliation as they look set to feature on the register after revolts over their executive pay this year.

Among the FTSE 100 companies likely to be on the list is advertising giant WPP, whose chief executive Sir Martin Sorrell remains one of the UK’s best paid bosses – even after his pay was cut last year from £72million to £48million.

Fewer than 10 per cent of investors voted against Persimmon’s pay deal this year, meaning Britain’s biggest housebuilder will not appear on the register.

Company Protest Vote %

Pearson (Education) 66

Morrisons (Grocer) 48

AstraZeneca (Pharma) 39

Burberry (Fashion) 31

Informa (Media) 29

NMC (Health Hospitals) 29

Sky (Media) 29

Old Mutual (Insurance) 28

Experian (Credit check) 24

WPP (Advertising) 21

Fairburn’s total jackpot comes to around £130million. He is in line to receive the remaining £80million next year.

Chairman Nicholas Wrigley handed in his notice alongside senior director Jonathan Davie. As chair of the pay committee, Davie was responsible for putting the incentive scheme in place five years ago.

Persimmon said the two men now realise they should have set a ceiling to limit the amount bosses could be paid under the long-term reward plan. ‘In recognition of this omission, they have therefore tendered their resignations,’ it added.

Some 15 per cent of Persimmon shareholders voted against the scheme in 2012 when it was introduced. That is below the threshold for the new register, but it is still a significant revolt.

Under the plan, rewards are linked to the performance of shares. However, critics point out that the Government’s Help to Buy loan scheme launched in 2013 has significantly pushed up Persimmon’s share price.

Pressure is mounting on the company to introduce a retrospective cap on the scheme and for Fairburn and his colleagues to forgo part of their rewards or make large donations to charity.

One large investment firm, Royal London Asset Management, called on Fairburn and the pay committee to ‘acknowledge their errors and correct them’. However, Persimmon said it has no plans to change its scheme.

The Mail on Sunday understands Wrigley and Davie had wanted to introduce a cap but were unable to do so because the scheme involves more than 140 regional managers, rather than just a handful of executives.

A spokesman for Persimmon said Fairburn’s plans for his bonus were ‘a private family matter’.

Jeff Fairburn, left, is staying with £130m, while Jonathan Davie, right, has resigned

Garry White, chief investment commentator at City firm Charles Stanley, said: ‘Much of Persimmon’s share price gain is due to luck. It came from a Government subsidy.’

Catherine Howarth, chief executive of investment group Share-Action, urged Wrigley and Davie to donate at least half of their bonuses to housing charities.

The Investment Association, which is compiling the register, is providing links to allow named companies to explain how they are tackling shareholder concerns.

COMMENT

Shares in Persimmon have gone up by more than 200 per cent in the five years since it introduced the reward scheme that has turned so toxic. But much of that is due to the state of the housing market and Government interventions, not the genius of executives.

The £800million Persimmon payout is an unacceptably large transfer of wealth out of the pockets of shareholders into the wallets of senior employees.

This is a racket that only benefits top bosses who should moderate their excesses or risk Jeremy Corbyn moving into Number 10 and doing it for them.